Builders' merchants sales continue to be up on the year

The latest data from the Builders Merchant Building Index (BMBI) shows that the value of sales at UK builders’ merchants was up 3.5% in August 2018 compared with August 2017 but down 3.4% on July 2018.

Year on year, Timber & Joinery Products were up by 9.5%, Landscaping was up by 6.9%,   Heavy Building Materials were up by 1.6% and Plumbing Heating & Electrical products were up by 1.2%.

Compared with the previous month, however, all product categories saw sales dip in the holiday month of August except for Workwear & Safetywear, which was up 2.5%.

For the first eight months of 2018, average daily sales were up 3.9% overall compared to the same period of 2017 and the rolling 12-month period saw an increase of 4.8%, driven by Plumbing Heating & Electrical (up 8.7%) and Timber & Joinery (up 6.9%).

The Builders Merchant Building Index (BMBI) tracks builders’ merchants’ actual sales to builders and contractors using GfK’s Builders’ Merchant Point of Sale Tracking Data. The BMBI represents over 80% of the value of the builders' merchants' market.

August’s BMBI index was 124.7, with one additional trading day. Seasonal category Landscaping was top (142.4) followed by Timber & Joinery Products (129.3) and Ironmongery (124.4). Ten of the 12 categories exceeded 100. The average sales a day index for August 2018 was 117.6.

New team for Builders' Merchant Federation's Young Merchant Group

Glenn Paddison, Branch Director at MKM Building Supplies is the new Chair of the Builders’ Merchants Federation’s Young Merchant Group.  He will be supported by Jo Callow, Merchant Sales Support Manager at Knauf Insulation, who was elected to replace Paddison as the Vice Chair.

Paddison takes over from Victoria Fiddies of Catnic who has just completed her two-year term as Chair.

Paddison and Callow took up their new roles following the BMF Young Merchant Group’s first Conference which was held at the NEC during National Construction Week in October.

The Conference, organised as part of the BMF’s Anniversary Year, was a great success, attracting 150 delegates drawn from current, past and potential Young Merchant Group members.  Highlights included keynote speaker George Clarke, the architect, television presenter and campaigner, who not only spoke passionately on the need to attract more young people into the whole construction industry including the building materials sector, but also voiced some ingenious ideas to help overcome the country’s housing shortage.

Membership of the BMF Young Merchant Group is open to merchants and suppliers aged between 21 and 40 holding a key management position within their organisation.  The Group meets twice a year in the autumn and spring, and also organises an annual trip overseas.

As well as offering opportunities to network and share experience, the meetings regularly feature one or more speakers to encourage and inspire members.  Another Conference highlight was the lively Q&A session following an Industry Forum led by Peter Hindle MBE, BMF Chairman, Andrew Harrison, Deputy CEO P&H of Travis Perkins, David Kilburn, Executive Chairman of MKM Building Supplies and Steve Durdant-Hollanby, MD of Alumasc Water Management Solutions, himself a former member of the Young Merchant Group

Paddison and Callow are keen to continue developing the BMF Young Merchant’s work and influence.

Paddison said: “I am honoured to have the opportunity to take on the role of Chair and would like to thank everyone who voted for me as well as MKM Building Supplies for supporting me in taking up this role. I would also like to thank Victoria Fiddies for her excellent leadership during the last two years.  I’m looking forward to working with Jo to broaden the Group’s scope even further.  I believe there is more to achieve through the BMF Ambassador programme to promote careers in our industry to school and college leavers and this group is in a great position to take a leading role in that.  I can also see an opportunity to strengthen our ties with European merchants to learn from their experiences and share best practice, perhaps in the form of a European Conference.”

Commenting on her appointment as Vice Chair, Callow, said: “I’ve been a passionate and committed member of the group for five years and the interaction has definitely helped me as I’ve progressed my career.  As a keen advocate for women in our industry, I’m delighted that I will be continuing the strong and encouraging female presence following Vic’s term of office and look forward to working with Glenn to take forward the baton to continue to grow the group and deliver quality events.”

Callow was also pleased to announce that Knauf Insulation will host the BMF Young Merchant overseas trip in 2019, which will tour the company’s manufacturing facility in Toulouse as well as visiting French builders’ merchants.

Happy 110th Birthday to the BMF!

The BMF is set for a year of celebration with three major events taking place during 2018 to commemorate a trio of landmark anniversaries.  As well as the 40th anniversary of the Builders’ Merchants Federation itself, the BMF is marking 110 years as a Trade Body and 5 years since it relocated from London to its current HQ in Coventry.   

To celebrate these milestones in the BMF’s history, the Federation is holding its first Parliamentary Reception at the House of Commonsits first Young Merchants’ Conference and a special Anniversary Dinner for 200 members at the Belfry.  

The Parliamentary Reception, which takes place on 24 April, will be hosted by Jim Cunningham, MP for Coventry South where BMF head office is based.  The event will bring together an invited audience of BMF members, MPs and Peers to network, and to promote and explain the role, value and importance of merchants within the building supply chain.   

The Anniversary Dinner for BMF members, on 29 November, sees the BMF return to the award-winning Belfry Hotel in Warwickshire, where the BMF celebrated its Trade Body centenary in 2008. Known for its world class golf courses and state of the art leisure facilities, the Belfry was named as England’s Leading Resort and Leading Conference Hotel at the World Travel Awards 2017.   

Details of the first Young Merchants’ Conference, which takes place on 11 October, will be finalised later this month.
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John Newcomb, the BMF’s Chief Executive, said: “This is a very special year for the BMF and we have planned three very different events which both commemorate the merchant industry’s heritage and look forward to a vibrant future.  While much has changed over the years, the BMF’s support for the industry and our members remains as strong as ever. We look forward to working, and celebrating, with as many members as possible throughout this milestone year.”

The BMF is also gathering historic photographs and memorabilia from the industry’s 110 year history.  Companies that wish to contribute, or that are celebrating their own landmark anniversary in 2018, should email christine.wall@bmf.org.uk to share in the BMF’s anniversary celebrations.

Builders Merchants given boost by MP at BMF Members' Day

The Housing and Planning Minister Alok Sharma has told builders merchants that housing is a major priority for this Government and welcomed plans by brick maker Ibstock to invest £50 million in a new factory in Leicestershire.

Sharma, who is MP for Reading,  was the headline speaker at BMF’s annual Members’ Day event in Leicestershire last week and emphasised the vital role builders’ merchants play in getting more homes built in this country.

He said: “Delivering more homes is a key priority for this Government. Builders’ merchants have an absolutely vital role to play in this, supplying the essential materials we need to get our country building faster.  I congratulate the resilient performance of UK builders’ merchants over this year, and I look forward to working with the sector to put into action the far-reaching reforms of the Housing White Paper. By working together, we will ensure we have the right building blocks in place to meet local housing needs and promote growth across all areas of the country.”

According to the latest figures released by the Builders Merchants Federation (BMF) through their Builders Merchants Building Index, sales in Q2 2017 were 5.3% higher compared to the same period last year (when adjusted for there being two less days trading in the period). The data also states that builders’ merchants year-to-date sales are 3.8% higher compared to the same time last year.

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Sharma also said that the Ibstock £50m investment was: “fantastic news for the building materials industry, demonstrating continuing confidence in this sector and growing consumer demand.” 

John Newcomb, BMF CEO Chief Executive of the Builders Merchants Federation said: “As a country we need to build many more homes, but these cannot be built without the materials and products that BMF members make, stock and deliver on a daily basis to where they are needed. There are also thousands of households wanting to repair, extend or adapt their home, and again they rely on builders’ merchants to provide the materials to do this.

“Despite our members’ robust performance so far this year, there are still some challenges facing our sector such as the supply of materials and the potential for the price of materials to increase due to higher commodity prices and fluctuations in exchange rates. We also want to see the Government press ahead with its proposals contained in the Housing White Paper, as this will bring a welcome boost to housebuilders”.

Builders Merchants rewarded at Master Builder Awards!

Builders Merchants Federation (BMF) has partnered with the Federation of Master Builders (FMB) to reward some of the best merchants in the country alongside the UK’s best builders in the Master Builder Awards. It is really good to see the vital part the merchant sectors plays in the industry, slowly being more recognised.

The competition is judged in two stages, and the six Regional winners of the BMF Builders Merchant Award have just been announced. 

The Regional winners are:

• Midlands: E H Smith
• North: Milford Building Supplies
• Northern Ireland: Haldane Fisher
• South: Parker Building Supplies
• Scotland: Beatsons Building Supplies
• Wales: LBS Builders Merchants

John Newcomb, BMF CEO said: “The members of the BMF and the FMB are two halves of the same coin.  Both ultimately serve the communities in which they operate.  We were delighted to further cement our relationship with the FMB by adding to this year’s Master Builder Awards. The FMB Awards celebrate the work of small and medium sized builders who have demonstrated excellence both in their standard of work and their customer service.  Similarly, for the BMF Builders Merchant Award we were looking for local merchants – be they builders’, plumbing, heating, timber or decorating - who have focused on customer service to drive new business growth

 “We were delighted with the response and the quality of the entries and along with the FMB, we had a hard task selecting the six regional winners: We wish them all luck as they go forward to the national final.”

The national winner will be announced at the Master Builder Awards Ceremony presented by TV’s Nick Knowles and to be held at the Park Lane Hotel on 15 September 2017.

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BMF promotes merchant employment opportunities for youngsters

Further to our recent post indicating that graduates are starting to look at the building and construction sector for their career development route, we were encouraged to hear that The Builders Merchants Federation (BMF) has launched a new careers website to promote the wide range of employment opportunities offered by merchants and building materials suppliers. 

It is vital for the future of our industry that organisations such as the BMF promotes employment opportunities for youngsters and encourage them to join the industry. At Pinnacle Consulting many of our clients offer some superb trainee or graduate level positions and it is something we actively support. 

Looking to develop or start a career in sales or marketing in the builders merchants industry, find out more here on our opportunities>>>

Timed to following the release of A-Level and GCSE results, the new Builders Merchants Careers website -www.merchant-recruitment.co.uk - is aimed at school and college leavers, their parents and the school careers advisers and Job Centres who support them as they consider career options. 

The website features eight video profiles of young merchant and supplier employees from MKM Building Supplies, Keith Builders Merchants, Gibbs & Dandy, Ridgeons, LBS, Parker Building Supplies, Catnic and Buttle's. 

Their new site is designed to offer a route map to help youngsters understand how they can get into the sector. Once they have decided what suits them best. 

It is the latest BMF initiative is aimed at making young people more aware of the diversity of roles in the merchanting sector, together with the industry's formal vocational training programmes. 

Commenting on the launch, Anne Pavey, senior employer relationship manager, Department for Work and Pensions (DWP) said: "Promoting apprenticeships and encouraging young people to explore careers that they may not have thought about is really important. 

"The Builders Merchants Careers website provides a mixture of inspiring videos from young people already in the sector, guidance on what path is best for each individual." 

BMF MD, John Newcomb added: "We believe this campaign, the biggest initiative of its kind ever undertaken by the BMF, will be the driving force behind attracting more young people into the sector and helping builders merchants and suppliers to continue to invest in the next generation. 

"With opportunities across disciplines, from fork lift drivers and customer service to HR and design services, from first job roles all the way to the board room, there really are great opportunities to meet young peoples' aspirations at every level." 

BMF launches customer service Charter

The Builders Merchants Federation (BMF) has introduced a new Charter that commits its members to provide the highest standards of customer service throughout the building materials supply chain. 

We believe that this is great news for the sector, as it comes under increasing competition from the Internet and the DIY sheds. 

Interaction with your customers, learning about new products by actually seeing them and gaining face-to-face expert advice, as well as, being able to collect products the same day are, for most in the trade, paramount. 

Maintaining these benefits are vital for both the merchant and the building products manufacturer to fend-off the competition from the net and the sheds.

As part of the new initiative, BMF merchant members will be required to commit to the 10 point Charter, and encouraged to display it with pride at the merchant counter and on their website.

A separate version of the Charter for BMF Supplier members, which gives corresponding pledges to their merchant member customers, will further assist BMF merchants to offer the best possible service to trade and consumer customers.

If you are a looking for a new job at a merchant or are a builders merchant looking to recruit in internal sales and customer service staff, please take a look at our recruitment services for the merchant sector.>>

John Newcomb, managing director of the BMF, said: “We want the building trade to make BMF merchants their first port of call because they know they will get the best service there. By signing up to the Charter, BMF members are signaling their intent to constantly seek to improve their operation, to work with their suppliers to improve the effectiveness of the building materials supply chain, and to give customers real value for money

“The Charter not only demonstrates the professionalism of BMF members, but it also highlights the wide-ranging support they offer to their customers.”

Under the terms of the Charter, BMF merchants promise to:

• Deal with customers promptly and fairly
• Ensure that any complaints are handled equitably
• Hold comprehensive and quality stock
• Promote sustainable products and materials wherever appropriate
• Offer product advice from experienced teams
• Provide prompt deliveries
• Provide structured credit facilities
• Commit to best standards of health and safety
• Minimise any adverse effects which their operations might have on surroundings and neighbours
• Minimise and recycle waste and manage waste disposal in a responsible manner

Under the terms of the BMF Supplier Charter, members will guarantee:

• Prompt and fair dealings with merchant member customers
• Help to stock and display our products
• Sustainable products and materials
• Technical support and product training
• Commitment to improve the effectiveness of the building materials supply chain

Compliance with the Charter will be monitored by the BMF. If a customer believes that a BMF member has failed to live up to its terms, they may contact the BMF for advice on gaining redress. In the event that a complaint cannot be resolved between the two parties, the BMF Charter Advisory Service will be employed to reach a satisfactory solution or compromise.

If you are a looking for a new job at a merchant or are a builders merchant looking to recruit in internal sales and customer service staff, please take a look at our recruitment services for the merchant sector.

BMF’s membership soars after restructure

Merchants have reacted favorably to the recent restructuring of the BMF after the federation simplified subscription rates and restructured their service to focus more heavily on business support, lobbying and training to ensure that they are more relevant to the needs of the market.

BMF chairman, Terry Parker said: "Supporting our members is our top priority and in the current climate, reducing the overall cost of BMF membership while retaining the services they most valued was central to our new strategy.

"We hoped that making membership more affordable would encourage both past members and new companies to become part of the BMF and the immediate response is very encouraging."

With many merchants rejoining after a long absence and many brand new merchants joining, the federation is again becoming a vital part of the industry and a resource that offers both value for money as well as relevant services.

As the merchant market continues to grow in importance through its commitment to be at the forefront of new technologies and sustainability, it is encouraging to see the BMF moving in the same direction and supporting its members to achieve this.

To find out more about the BMF and their recent changes and their vision for the future, please visit www.bmf.org.uk

Pinnacle Consulting is committed to helping the merchant market recruit the best sales, marketing and management professionals throughout the UK.